Govt to reopen Panchagarh Sugar Mills after BMRE: Minister

FE REPORT | Published: May 09, 2026 23:13:47

The government is considering reopening the closed Panchagarh Sugar Mills Limited after necessary Balancing, Modernisation Rehabilitation and Expansion (BMRE) as part of a broader initiative to revive loss-making state-owned industries and stimulate local economies.
Officials say the move could help generate employment, support farmers and reactivate economic activities in surrounding areas, while new investment in beet sugar production is also being explored.
Commerce, Industries and Textiles and Jute Minister Khandaker Abdul Muktadir on Saturday said the government is working to reopen the closed Panchagarh Sugar Mill as part of a broader plan to revive state-owned industries across the country.
Speaking to reporters after visiting the mill and exchanging views with sugarcane farmers in Panchagarh, the minister said an operational mill creates employment, boosts government revenue and keeps the local economy active.
"When a mill remains operational, it creates jobs, increases government revenue and helps revive local economic activities. It also creates opportunities to repay existing loans of the institution," he said.
He said the government wants to reopen not only Panchagarh Sugar Mill but also other closed state-owned factories. Currently, six out of the country's 15 sugar mills remain shut.
The minister said the infrastructure and machinery of Panchagarh Sugar Mill require major BMRE due to its prolonged closure.
Experts are now reviewing the technical and financial aspects before a final decision is taken.
Later in the day, the minister visited the country's first beet sugar mill at Ramganj Bilashi Char, where he said the government would support the expansion of innovative agro-based industries.
He said the beet sugar initiative has opened up new possibilities for Bangladesh's agro-processing sector.
Entrepreneur Md Abdus Salam said commercial sugar production from the beet sugar mill is expected to begin in 2027.
According to him, the factory is projected to produce 45,000 tonnes of sugar annually, along with 4.8 million cubic metres of gas, 45,000 tonnes of organic fertiliser and 30,000 tonnes of animal feed.
He said Rangpur Division is highly suitable for sugar beet cultivation because of its elevated land and long winter season.
Experimental cultivation has been underway in different districts since 2013 with encouraging results.
The minister also said the government would hold coordination meetings with the Ministry of Agriculture and other relevant agencies to assess the full potential of beet sugar production and provide necessary support, including loans for entrepreneurs if required.
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